ASIC has announced charges against a NSW man GD following an investigation into his conduct while employed by Jasa Dining Pty Ltd (in liquidation), formerly trading as The Italian Food Project. The alleged conduct occurred between August 2023 and June 2025.
ASIC alleges that GD:
- Dishonestly redirected $935,000 in sale proceeds from Jasa Dining to himself between August 2023 and April 2024, contrary to s184(2) of the Corporations Act (maximum penalty: 15 years’ imprisonment).
- Procured a further $96,793 creditor‑defeating disposition in April 2024 while the company was insolvent, contrary to s588GAC(1) (maximum penalty: 10 years’ imprisonment). This is ASIC’s first-ever criminal charge under the creditor‑defeating disposition provisions.
- Offered $50,000 to a witness to induce them to withhold true testimony in a federal proceeding, contrary to s37(3) of the Crimes Act.
The matter was heard in the Downing Centre Local Court and adjourned to 11 August 2026 for further mention. The Commonwealth Director of Public Prosecutions is prosecuting the case.
Why this case is significant
Creditor‑defeating dispositions occur when company assets are transferred for less than market value and in a way that prevents those assets from being available to creditors in a winding up. Directors have a statutory duty to prevent such transactions when their company is insolvent or becomes insolvent because of the disposition.
Importantly, liability extends beyond directors. Employees, advisers, lawyers and pre‑insolvency consultants may also be exposed if they procure, encourage or assist in such transactions.
ASIC’s action signals a clear shift toward criminal enforcement in cases involving deliberate asset‑stripping and potential phoenix activity.
You can read more about the case here on ASIC’s website.
